Applied Materials (NASDAQ: AMAT) outperformed expectations in its second quarter performance, with adjusted earnings per share of $2.09 and revenue reaching $6.65 billion, surpassing analysts' expectations of $1.99 per share and $6.54 billion respectively. However, the stock price fell 1% to $211.97 in after-hours trading. The company expects adjusted earnings per share of $2.01 and revenue of $6.65 billion for the next quarter, once again exceeding market expectations.

Founded in 1967 and headquartered in Santa Clara, California, Applied Materials is a global leader in semiconductor equipment supply. The company focuses on providing equipment and services for manufacturing semiconductors, flat panel displays, and solar cells, playing a critical role in areas such as artificial intelligence (AI), the Internet of Things (IoT), electric vehicles, and clean energy. Its business spans globally, with China being one of its largest markets.

Following the announcement of its second-quarter performance, Applied Materials reported adjusted earnings per share of $2.09 and revenue of $6.65 billion, surpassing market expectations. For the next quarter, the company anticipates adjusted earnings per share of $2.01 and revenue of $6.65 billion, once again exceeding market expectations.

CEO Gary Dickerson stated that Applied Materials possesses the most comprehensive material engineering technology portfolio, supporting significant transformations in areas such as AI, IoT, electric vehicles, and clean energy, and is well-positioned for growth within these long-term trends.

In the second quarter, Applied Materials saw the fastest sales growth in the technology for producing DRAM memory chips, with DRAM equipment sales accounting for 32% of the company's semiconductor system sales. The Chinese market remains the largest market for Applied Materials, representing 43% of second-quarter sales.

Despite the performance surpassing expectations, Applied Materials' stock price experienced a slight decline in after-hours trading. During Thursday's regular trading session, the stock dropped 1.5% to close at $214.17. It's worth noting that the stock broke through the flat-base buy point of $214.91 on Wednesday.